Pleasantville High School teacher pleads guilty in prescription fraud case
A Pleasantville High School English teacher is one of the latest to plead guilty in a multi-million dollar prescription fraud scheme.
Richard Erick McAllister, 42, who lives in Ocean City, allegedly made nearly a half-million dollars from the conspiracy and cost the program more than $3.4 million, U.S. Attorney Craig Carpenito and Attorney General Gurbir Grewal announced Monday.
He and a Gloucester County salesman each admitted separately in Camden Federal Court to recruiting individuals from January 2015 to April 2016 to obtain expensive and unnecessary compounded medications from an out-of-state pharmacy that garnered thousands in reimbursements for monthly supplies.
William Hunter, 43, of Sewell, McAllister and others obtained insurance information from those individuals and gave it to another conspirator, who completed the prescriptions and had a doctor sign them without examining the individuals.
The prescriptions were faxed to the Compounding Pharmacy, which filled the prescriptions and billed the Pharmacy Benefits Administrator.
Both men face as long as 10 years in prison when they are sentenced July 18. McAllister must forfeit $456,806.23 and pay restitution of at least $3,428,222.97.
Hunter must forfeit $245,020.08 in criminal proceeds and pay restitution of at least $1,323,930.57.
Sixteen other conspirators have already pleaded guilty, including Margate Dr. John Gaffney, Atlantic City Firefighter Michael Pepper, Margate Firefighter Michael Sher and Pleasantville guidance counselor Michael Pilate.